[Tanzania] Bunyu graphite mining project receives license
Australian mining company Volt Resources (ASX: VRC) has formally acquired mining licenses ML 591/2018 and ML 592/2018 from the Mining Commission of Minerals of Tanzania for the respective Internship 1 and Stage 2 of the Bunyu Graphite Project.
The Bunyu project (formerly Namangale), located in the Mtwara Region of South-east Tanzania, covers a combined area of 17.71km2 andis considered to be the biggest graphite mineral resource in the country. It has estimated, measured, indicated, and inferred mineral resource of 461Mt graded at a total graphite content (TGC) of 4.9%.
The licenses provide Volt with the exclusive right to develop the graphite resources in the area for a period of 10 years, with the right of further 10 year renewals under section 53 of the Mining Act.
Trevor Matthews, CEO of Volt, explains that now that the Company has formally received the licenses, the completion of the Tanzanian Note Issue for the Bunyu development is the remaining key milestone prior to Volt’s subsidiary Volt Graphite Tanzania Ltd (VGT) proceeding with front-end engineering and design work for the initial Stage 1 operations and the ordering of long lead time components.
Concurrently with the Stage 1 development, VGT plans to be the definitive Feasibility Study on the large-scale Internship 2 expansion at Bunyu. Tanzania Graphite Tanzania's largest graphite deposits are located in the central and eastern regions of the country.
Graphite discoveries in Tanzania are mainly from Australia based graphite developers, Magnis Resources (ASX: MNS), Volt Resources (ASX: VRC) and Kibaran Resources (ASX: KNL).